It is by no means surprising that prejudices and resentments, which for years were so assiduously cultivated and so violently inflamed, should not have been turned into affection by a defeat; nor are they likely to disappear as long as the southern people continue to brood over their losses and misfortunes. They will gradually subside when those who entertain them cut resolutely loose from the past and embark in a career of new activity on a common field with those whom they have so long considered their enemies. Of this I shall say more in another part of this report. But while we are certainly inclined to put upon such things the most charitable construction, it remains nevertheless true, that as long as these feelings exist in their present strength, they will hinder the growth of that reliable kind of loyalty which springs from the heart and clings to the country in good and evil fortune. SITUATION OF UNIONISTS. It would have been a promising indication of returning loyalty if the old, consistent, uncompromising Unionists of the south, and those northern men who during the war settled down there to contribute to the prosperity of the country with their capital and enterprise, had received that measure of consideration to which their identification with the new order of things entitled them. It would seem natural that the victory of the national cause should have given those who during the struggle had remained the firm friends of the Union, a higher standing in society and an enlarged political influence. This appears to have been the case during that "first period" of anxious uncertainty when known Unionists were looked up to as men whose protection and favor might be of high value. At least it appears to have been so in some individual instances. But the close of that "first period" changed the aspect of things.